Financing Your Goals: Asset Finance for Business & Personal Lending for Life
For Your Business: Acquire essential equipment without depleting working capital
Vehicles
Equipment
Technology
For Your Life: Flexible funding for personal goals and expenses
Renovations
Vehicles
Holidays
Asset finance is a crucial tool for businesses that need to acquire essential equipment, vehicles, or technology without depleting their working capital through a large upfront purchase.
It allows businesses to spread the cost of an asset over its productive lifespan, matching the expense to the revenue it helps generate and thereby improving cash flow management.
No large upfront payment means your cash stays in the business for operations and opportunities
Pay for the asset as it generates income for your business
Each structure has different implications for ownership, tax, and accounting treatment. The optimal choice depends on your specific cash flow needs, tax position, and long-term strategy.
| Feature | Chattel Mortgage | Hire Purchase | Finance / Operating Lease |
|---|---|---|---|
| Ownership | The business owns the asset from the start; the lender takes a mortgage over it | The lender owns the asset during the term; ownership transfers after the final payment | The lender retains ownership throughout. The business has the right to use the asset |
| GST Treatment | Can claim full GST on purchase price upfront in next BAS | GST on purchase price can be claimed at the end of the term upon ownership transfer | Can claim the GST component included in each regular lease payment |
| Tax Deductions | Can claim depreciation on the asset and the interest portion of loan repayments | Can claim depreciation on the asset and the interest component of payments | Lease rental payments are generally fully tax-deductible as operating expense |
| Balance Sheet | The asset and corresponding loan liability are recorded on the balance sheet | The asset and liability may be recorded on the balance sheet | Operating lease may be treated as off-balance sheet item (improves financial ratios) |
The differences between these structures are complex. A finance broker works in consultation with you and your accountant to select and structure the most advantageous facility for your specific situation.
Personal loans offer a flexible way to access a lump sum of funds for a wide variety of personal goals and expenses with a structured repayment plan.
They provide a structured repayment plan over a fixed term, typically from one to seven years, giving borrowers clarity on their financial commitments.
At least 18 years old
Australian citizen, PR, or eligible visa
Regular source of income
Good credit history
Proof of Identity
Proof of Income
Assets, Debts & Expenses
The choice between them depends on your circumstances and access to a suitable asset to use as security.
Granted based solely on your creditworthiness, including income, credit history, and ability to service the debt. No asset is provided as collateral.
Because this represents higher risk for the lender, unsecured loans typically come with higher interest rates than secured loans.
Simpler, faster application process as no asset valuation is required.
The borrower provides a valuable asset—most commonly a car—as collateral for the loan. This reduces the lender's risk.
Risk of losing the asset if unable to meet repayment obligations. The lender can repossess and sell the asset to recover funds.
Whether you need equipment for your business or a personal loan for life's important moments, we'll help you find the right finance solution with the best structure and rates for your situation.